NCLH Q2 2025 Earnings

Call Details

• Call Title: Norwegian Cruise Line Q2 2025 Earnings Call
• Date: July 31, 2025 at 12:00 PM UTC
• Management Team:
  • Sarah Inman (Investor Relations)
  • Harry Sommer (Chief Executive Officer)
  • Mark Kempa (Chief Financial Officer)

Call Summary

Financial Performance

• Second quarter net yield grew 3.1% on a constant currency basis versus the same period in 2024.
• Adjusted EBITDA for Q2 was $694 million, which was $24 million above the guidance point cited on the call.
• Adjusted net income for the quarter was $257 million, which included $37 million of foreign currency losses related to remeasurement of advance ticket sales.
• Adjusted EPS for Q2 was $0.51, and the company stated this figure included a $0.08 per share FX headwind.
• Trailing 12-month margin was reported at 36.3% and was described as a material improvement versus 2023 levels.
• Onboard spend and strong close-in bookings were cited as primary drivers of the quarter's revenue beat.
• Adjusted net cruise cost excluding fuel was reported as flat at $163 per capacity day for the quarter.

Guidance

• Full-year 2025 net yield guidance was reiterated at growth of 2.5% on a constant currency basis.
• Full-year 2025 adjusted EBITDA guidance was maintained at $2.72 billion.
• Full-year 2025 adjusted EPS guidance was reiterated at $2.05, which reflects an $0.08 FX headwind.
• Third quarter 2025 occupancy is expected to be approximately 105.5, which the company said is about 2.5 points below the prior year.
• Third quarter 2025 net yield is expected to grow approximately 1.5% with pricing growth of about 4.0%.
• Third quarter 2025 adjusted EBITDA is expected to be just over $1.0 billion and adjusted EPS is expected to be $1.14.
• The company reiterated its 2026 targets of low- to mid-single-digit net yield growth and subinflationary unit cost growth as the multi-year algorithm.